After filing for Chapter 11 bankruptcy one month ago, SFX Entertainment is now looking to sell some of its assets. In order to help pay back its many debts, the live events company will be auctioning off Beatport. SFX purchased the popular download/streaming service back in 2013 for $50 million. According to a court document acquired by IQ Mag, the company does not feel it’s in its best interest to continue investing in Beatport. The report states:
“While the Beatport Assets are valuable to the SFX enterprise, given SFX’s current financial condition, SFX cannot afford to make additional investments in Beatport as may be needed in the future, and therefore, has decided to sell the Beatport Assets.”
All bids will need to be placed by April 28th, with the actual auction occurring on May 3rd. Potential investors will need to provide proof of stability, agree to Beatport’s current policies and vow to not reverse the offer. Beatport responded to the news with this official statement:
“We are both flattered and encouraged by the number of companies that have already expressed an interest in acquiring Beatport.
For over 12 years, Beatport has served as the global source for electronic music worldwide. This legacy, and the complete music experience we have built around it, will continue to guide our vision. As always, our priority remains our customers and partners. We are excited for the future.”
Source: Magnetic Mag